Banks Delay $208 Million in Sandy Cash

By

Leslie Scism and

Ruth Simon

Updated Feb. 12, 2013 9:07 p.m. ET

Banks are holding $208 million in insurance proceeds owed to New York state homeowners whose properties were damaged in superstorm Sandy, with almost two-thirds of the money sitting at the four biggest U.S. banks, New York Gov. Andrew Cuomo said Tuesday.

The state's Department of Financial Services found in an investigation that Bank of America Corp., Citigroup Inc., J.P. Morgan Chase & Co. and Wells Fargo & Co. are holding...